Banca Transilvania reports net profit of 913.2 million Euro, up 35 percent in Q1

Banca Transilvania achieved positive results during the first three months of 2024, with increases in customers’ deposits, loan portfolio, transaction volumes and the number of clients attracted. BT Group’s consolidated net profit amounts to 1.13 billion RON (+35 percent compared to Q1 2023), of which the bank’s net profit amounts to RON 913.2 million (+35 percent compared to Q1 2023). Subsidiaries and equity holdings contributed approximately 219.2 million RON to BT Group’s profitability.

BT Financial Group’s assets reached ≈ RON 176 billion and net loans reached RON 77.1 billion.

The bank’s cost-to-income ratio reached 45.10 percent, determined by considering the annualised impact of the contribution to the Bank Deposit Guarantee Fund and the Resolution Fund.

The bank’s net interest income is 28 percent higher than the one recorded in the first quarter of 2023.

Net fees and commission income increased by 18 percent compared to the same period of 2023, backed by the growing BT activity.

Customers’ deposits increased to RON 137 billion at the bank level, of which RON 88.1 billion are retail deposits and RON 48.8 billion are companies’ deposits.

The gross loan-to-deposit ratio, at bank level, is 56.3 percent.

The non-performing loans ratio, according to the EBA indicator, is 2.01 percent as of March 31, 2024

Evolution of business lines

Customers’ deposits, at the bank level, increased by RON 14.7 billion, +12 percent compared to March 2023.

Gross loan portfolio, at bank level, increased by RON 9.5 billion, +14.1 percent compared to March 2023.

Nearly 4,000 people have bought a house with the BT’s help, the loans granted reaching almost RON 1 billion.

The balance of mortgage loans reached RON 19 billion and increased by 13 percent compared to March 2023, representing 25 percent of the loan portfolio.

The balance of loans granted to companies amount to approximately RON 45 billion, 16 percent higher compared to March 2023.

“The beginning of the year is encouraging and shows that we are on the right track to reach our goals for 2024. Our focus stays on boosting volumes, reaching more clients, and securing new business across all segments, while simultaneously consolidating the companies within the Banca Transilvania Financial Group. We are thus growing the balance sheet and the footprint of the BT Group, through expanding our role in the Romanian banking sector and improving the financial access in the country. From a macroeconomic perspective, the rest of the year looks gradually challenging, due to the international uncertainty and the market volatility. Inflation is more resilient than hoped and the economic growth remains subdued. Nevertheless, we remain optimist and we are investing steadily in the expansion of our business”, states Ӧmer Tetik, CEO, Banca Transilvania.